Home Appraisal – How to get a home appraisal
What is a home appraisal or home appraisal?
A home appraisal will tell you about the property and how much it could potentially cost. Depending on where you go to get a home appraisal, this information will be accurate enough for you to make a decision to buy or sell the home, or you’ll have to take it with a grain of salt.
You may want to get your own home valued so you can decide if it’s a good time to sell, or to get a better idea of how much equity you might have in your home for your next loan.
If you are buying a new home, you can check home values in specific areas or streets so you can compare the best places to move within your budget. If you have an eye on a specific property, you can also check house prices in the area to see how the seller’s price is performing.
If you are buying, home appraisals can give you a better feel for whether you are getting a good deal or not. If you are selling, home appraisals can help you understand whether it is worth considering selling your home or what price you are setting.
Who can give you an accurate home quote?
Certified appraisers can give you an accurate appraisal of your home, usually for around £ 250 to £ 600. This is a service you usually get when you buy a home.
Mortgage Lenders They will also provide their own home valuation, but again this is something that will get done during the home buying process. Mortgage lenders will quote you based on what they believe is worth, and typically costs an extra £ 100 or more on top of the cost of your mortgage.
If you’re just speculatively looking for a home appraisal, you can check out websites that pull their data from the land registry and other sources. For example, many real estate broker websites will use data from past home purchases in the area and the Land Registry, which is a record of home ownership and purchases.
However, the land register is not always updated as quickly. All new data is added at different times, so what you see at any given time may not always be completely accurate.
Paying a home appraisal is probably the most accurate way to do this, but when you’re just curious and want to know if it’s worth buying or selling, it’s understandable that you don’t want to part with your cash for one.
You can still get a fairly accurate quote for free, but you will need to use a variety of sources to give you the best chance of avoiding inaccurate and outdated information.
How do I get a quote for free?
There are many free online home valuation tools that you can use to judge how much a home is worth, whether it’s your own or one you’re interested in buying.
Keep in mind that free online home appraisals are unlikely to be accurate – they should only serve as a guide. If you do research on several websites, you can reduce some margin of error, but it’s not worth making any big decisions on that.
Some websites simply allow you to enter a zip code for a free quote. They use land registry data to show how much a house has been sold for, but they can also tell you how much it is now worth based on an estimate. They are not entirely accurate and usually give a wide playing field.
Free home appraisal websites are a good place to start, but then you should look at a few other options to narrow down this appraisal.
If you want to see how much your home could be worth, there are several online tools that provide a simple guide based on the changing home values in each region of the UK.
Obviously, this doesn’t take into account any improvements you may have made to your home, and since it simply focuses on the region rather than the street or even a zip code, it won’t give you an accurate rating.
Some websites will try to forecast spikes and crashes in house prices. It’s a good idea to review what the risks may be for buyers or sellers.
However, many of these sites have their own agenda (for example, they want a crash or a rise in prices) and simply interpret the available data and current events – that doesn’t mean they are forecasting it to happen.
If you want a decent sense of home value in a specific area or street, websites with home listings such as Zoopla they have sections that focus on your purchasing history. By seeing what these properties have been sold for, you can get a better idea of what they may be selling for in the future.
You should also see how negative aspects can affect the value of the home you want to buy or sell. Police.uk will give you crime data for a specific street or neighborhood. You can also see what type of crime is most common.
You can also have a look at Environmental Agency website to see which areas are at risk from flooding or air pollution.
Combining all of the pricing tools above may give you an idea, but it’s not enough to donate cash or sell a house. It’s always best to get a professional home appraisal from a surveyor.
Should you remort based on valuation?
This is because if the value of your home increases, it can push you towards a different one loan up to value (LTV) bracket.
LTV is the size of your mortgage in relation to the current value of your home. For example, a £ 150,000 mortgage on a £ 200,000 home would be equivalent to 75% LTV.
As a rule, the lower the LTV, the better the rate you can get. The cheapest rates are available at LTV 60%, the next cheapest at 65%, moving in 5% steps all the way up to 95%.
So, if the value of your £ 200,000 home rose to £ 250,000, assuming you still had a £ 150,000 mortgage (you would actually pay off some of that amount), your LTV would drop to 60%.
However, remember that if you are making decisions based on a quote, you should make sure your quote is completely accurate. You don’t want to get caught by a lender who thinks your home is worth less than your valuation shows.